JEMTEC INC. TSX-V: JTC
VANCOUVER, BC, Dec. 17, 2020 /CNW/ - JEMTEC Inc. (TSXV: JTC)
(the "Company") is pleased to provide an update on its First
Quarter performance for the period ended
October 31, 2020 and the Companies improving
financial situation, with no debt, strong liquidity and
net worth.
Q1 Revenues
Revenues have increased by 1% during the
quarter ended October 31, 2020
compared to the quarter ended October 31,
2019 primarily due to increased revenues from CSC. The
Company earned revenues on its agreements with the Provinces of
Saskatchewan, Nova Scotia as well as the CSC and SOLGEN. The
Company also earned revenues from private bail clients by
presenting the release plans for court cases.
Q1 Expenses
During the quarter ended October 31, 2020, expenses decreased by 8%
compared to the quarter ended October 31,
2019 primarily due to the fluctuations in depreciation,
equipment rent and installation, monitoring and activation fees,
office, professional fees, repairs and maintenance and travel.
Q1 Income Tax
For the quarter ended October 31, 2020, the Company recognized a
provision for income tax expense of $48,000 (October 31,
2019 - $45,000). The current
income tax expense was related to income tax in Canada.
Q1 Net Income
For the quarter ended October 31, 2020, the Company recorded a net
income of $139,561 compared to a net
income of $102,858 during the quarter
ended October 31, 2019. This
increase in net income is primarily associated with the decrease in
depreciation expense.
Q1 Liquidity
At October 31,
2020, the Company had cash and cash equivalents of
$2,149,242 and working capital of
$2,045,375. All cash and cash
equivalents are on deposit with a Schedule I bank in Canada in current or interest accruing
accounts.
Eric Caton, President and CEO
said, "We are pleased with the Q1 results and we see a profitable
and stable path ahead with the Company well positioned to grow its
core business and increase market share." Jemtec has provided a
full spectrum of monitoring technologies and services to provincial
and federal correctional and border services across Canada since 1987 and in doing so has built a
reputation for offering the best technological solutions and
support for use in this demanding environment.
FORWARD-LOOKING STATEMENTS
This news release contains forward-looking statements, which
relate to future events or future performance and reflect
management's current expectations and assumptions. Such forward -
looking statements reflect management's current beliefs and are
based on assumptions made by and information currently available to
the Company. Investors are cautioned that these forward looking
statements are neither promises nor guarantees, and are subject to
risks and uncertainties that may cause future results to differ
materially from those expected. These forward-looking statements
are made as of the date hereof and, except as required under
applicable securities legislation, the Company does not assume any
obligation to update or revise them to reflect new events or
circumstances.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE Jemtec Inc.